Crypto Exchange Volumes Plunge to Multi-Month Low as Trading Activity Stalls

A comprehensive analysis of the $1.6 trillion monthly volume slump, its causes, and what it signals for the broader cryptocurrency market.

Introduction: A Market in Pause

The relentless churn of the cryptocurrency markets has hit a notable lull. In November 2025, combined trading volume across centralized exchanges (CEXs) plunged to approximately $1.6 trillion, marking the weakest monthly performance since June. This significant contraction, reported by The Block, represents a stark cooldown from the frenetic activity seen in late 2024 and highlights a period of pronounced hesitation among traders. The decline is not isolated to legacy platforms; decentralized exchanges (DEXs) have mirrored the trend, with 30-day volumes falling sharply. This synchronized slowdown across both centralized and decentralized venues points to a broader market phenomenon: a collective stepping back from participants after months of indecisive, choppy price action. As momentum fades, the critical question emerges: what does this pervasive lack of activity mean for the market's next directional move?

Trading Activity Hits a Yearly Low: A Broad-Based Retreat

The data presents a clear and unambiguous picture: cryptocurrency trading volumes experienced a substantial slide in November. The aggregate monthly figure of $1.6 trillion stands in sharp contrast to the market's recent historical peaks. According to The Block, this drop was "obvious across the board," affecting all major trading platforms without exception.

The retrenchment is most visible at Binance, the exchange that typically anchors overall global activity. Its monthly volume bar "shrank noticeably" from a spike recorded in October. This pattern was replicated at other leading CEXs including OKX, Coinbase, Bybit, and Kraken, all of which posted thinner volumes for the period. Notably, no major platform managed to buck the downward trend and show an uptick.

Contextualizing this slump is crucial for understanding its significance. This decline is part of a longer-term downtrend that began after the late-2024 surge, a period when monthly trading volumes briefly pushed above $3 trillion in December of that year. The market saw mild recoveries in July and October 2025, but these proved transient, with activity falling again each time. The current low represents a continuation of this cooling phase, underscoring that the market is, unequivocally, trading far less than it was in prior periods.

DEXs Fall Alongside CEXs: A Unified Downturn

The stagnation is not confined to traditional, custodial exchanges. The decentralized finance (DeFi) ecosystem is experiencing a parallel decline, indicating that the drop in engagement spans different types of market participants and trading philosophies. Data from DeFiLlama shows that daily DEX volume stood at approximately $8.1 billion at the time of writing in early December 2025. More tellingly, the 30-day total volume dropped to about $399 billion, reflecting a 22% decline week-over-week.

This current state of DEX activity represents a dramatic comedown from earlier in the year. January and February 2025 saw multiple daily volume spikes soaring into the $30-$50 billion range. In recent weeks, however, daily figures have largely been confined to a much narrower band between $5 billion and $15 billion. Even October's brief resurgence in activity failed to sustain itself, with November sliding back toward the lower end of that range.

The synchronized downturn across both CEX and DEX venues is particularly telling. It suggests that the current lull is not driven by a migration of capital from one venue type to another—a common occurrence during regulatory scares or exchange-specific issues—but rather by a broad-based reduction in trading appetite. This points to a withdrawal by both retail traders and more active, sophisticated participants who utilize DeFi protocols.

Historical Context and the Search for Catalysts

To fully grasp the implications of the current volume drought, it is instructive to compare it with previous cycles of low activity. The last comparable multi-month low was observed in June 2025. Prior to that, similar periods of stagnation often preceded significant volatility breakouts, as thinning order books can amplify price movements once new information or sentiment enters the market.

The late-2024 surge to over $3 trillion in monthly volume was likely fueled by a combination of factors typical of bull market peaks: institutional product launches, mainstream media frenzy, and speculative retail inflows. The subsequent downtrend reflects a natural cooling-off period and consolidation. However, the failure to regain sustained momentum through 2025 suggests a market in search of a definitive catalyst.

Past cycles indicate that prolonged low volume can be a sign of accumulation or distribution phases, where larger players build or unwind positions away from the spotlight of high retail participation. The current environment—characterized by choppy price action and fading momentum—fits this description. Traders appear to be waiting for clear signals that could assure them of sustained upside, whether from macroeconomic shifts, decisive regulatory clarity, or breakthrough adoption narratives within the crypto space itself.

Market Mechanics: The Impact of Thin Liquidity

The practical consequences of falling exchange volumes are significant for all market participants. When activity drops to multi-month lows, market mechanics themselves begin to change. The most direct impact is on liquidity—the ease with which assets can be bought or sold without drastically affecting their price.

In a thin liquidity environment, order books become shallower. This means that relatively smaller trades can have an outsized impact on price, leading to more abrupt and less predictable swings. The "market depth" that usually absorbs large buy or sell orders diminishes, increasing slippage and execution costs for traders. This creates a self-reinforcing cycle: higher costs and unpredictable volatility deter trading, which further reduces liquidity.

This condition makes the market more susceptible to sudden moves triggered by news events or large individual transactions. In essence, the stability provided by high-volume, continuous trading evaporates, leaving prices on a less stable footing until fresh capital and engagement return to the markets.

Strategic Conclusion: Navigating the Quiet Before the Storm

The simultaneous plunge in volumes across both centralized exchanges like Binance, OKX, Coinbase, Bybit, and Kraken and decentralized platforms tracked by DeFiLlama sends a unified message: confidence is low and participant engagement has stalled. The market has transitioned from a phase of explosive growth and speculation into one of watchful waiting.

For investors and traders, this environment demands heightened caution and strategic patience. The conditions are ripe for increased volatility due to thin liquidity, meaning price movements may be sharper and more erratic than fundamentals alone would dictate. Until fresh catalysts emerge—be they regulatory developments, macroeconomic shifts like changes in interest rate policy, or technological milestones within major blockchain ecosystems—the market is likely to continue drifting within constrained ranges.

Readers should watch for two key indicators in the coming weeks: first, a sustained increase in daily volume (particularly above the $15 billion threshold on DEXs or a meaningful recovery on major CEXs), which would signal returning conviction. Second, monitor for fundamental catalysts that could break the malaise, such as decisive legislative actions or major institutional onboarding announcements.

Ultimately, periods of low volume are intrinsic to market cycles. They represent consolidation and recalibration. While they present challenges for active traders due to unpredictable swings, they also offer a clearer view of underlying asset strength absent speculative noise. As history shows, these quiet phases often set the stage for the market's next significant move